Should I Consider an Internal Auditor Position?
Feb 27, 2015 | 11:00 am
Internal auditing refers to an auditor employed by the company, as opposed to an independent source of information. This professional deals with risk issues that may affect the company in the short-term or long-term, hence providing security assurance.
This is necessary for small or upcoming businesses that would likely fold quickly if huge losses are reported. It is therefore important to determine whether this position is worth your college investment, at least in the terms of the experience and skills that you will learn along the way.
All internal auditors have the mandate to provide the company with assurance and evidence that their risk control and management practices are in effect. Internal auditors are also expected to evaluate the company’s regulatory compliance with laws and information security. They work together with an anti-fraud team to ensure risks are minimized. Much of their work day involves investigating claims and making sure all financial records are accounted for. The salary of this position can go as high as $70,000, according to Indeed. It was also reported that salaries for this position were 20 percent higher than the average salary reported around the country.
The significance of internal editor position includes:
Protection against Fraud
Businesses can lose millions due to internal theft cases committed by employees. This can include credit card “skimming”, cash theft, inappropriate transactions involving payrolls and check interference. Policies by the internal auditing team of the company in relation to petty theft and fraud can inhibit employees from stealing or misappropriating available resources. An internal auditor’s goal is to prevent losses.
Internal Control Monitoring
An internal auditor creates policies and does regular checks to minimize fraud cases and reduce exposure of the company to fraud practices. The internal auditor can recommend policy changes involving credit extensions to customers. Such policies could prevent bad debts and minimize internal thefts. This will enable auditors to conduct their responsibilities with ease.
A common action among internal auditors is the exchange of standards and experiences through a review of other companies’ laws and processes. Most government organizations recommend an occasional internal auditor exchange, so the information obtained can be adopted by the visiting company and compliance can be ensured within a state or county. Every internal auditor should therefore be in a position to work well with others for the purpose of profitable exchange of information for all parties.
The major question you should ask is, do you have the qualifications to become an internal auditor? In most business organization, qualifications include holding a bachelor’s degree in finance, accounting, or any other business related course. It is also vital to have communication skills and analytical abilities. You are expected to manage, write and organize projects on occasion.
If the internal auditor position seems like a good fit for you, then apply right away, or boost your education with an associate’s degree. You will be in a position to help the company financially through strategic planning and will gain plenty of valuable administrative experience through training. It is an exciting career choice!